Home Case Index All Cases VAT and Sales Tax VAT and Sales Tax + HC VAT and Sales Tax - 2010 (9) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2010 (9) TMI 977 - HC - VAT and Sales TaxTax liability on a dealer with regard to freight charges and trade tax Held that:- The assessing authority has committed a manifest error in presuming certain events hypothetically, which is not based on any document on record. The record clearly suggests, namely, the bills, that the price of goods was charged separately and that the trade tax and the freight charges were charged separately. This was the best evidence which could not be ignored by the assessing authority. There is no agreement between the parties except the offer made by the purchaser and the certificate issued by the purchaser which also clearly indicates that as per the arrangement made between the parties, freight and trade tax was required to be charged separately. Consequently, the assessing authority committed a manifest error in rejecting the certificate and including the trade tax as well as the freight charges in the turnover. Thus the assessee was entitled for exemption of freight and trade tax in its turnover. Appeal allowed.
|